The Turkish collateralization system was recently updated through the introduction of the Law No. 6750 on Movable Pledges (the “Movable Pledge Law”). Under the Movable Pledge Law, the Ministry of Customs and Trade (the “Ministry”) is authorized to provide for the implementing regulations and, on December 31, 2016, the Ministry introduced the following regulations:
The new regulations, along with the Movable Pledge Law, are effective as of January 1, 2017.
What these regulations bring
Registry, TARES and perfection
Scope of pledge
Enforcement
Valuation
Conclusion
The details of the much anticipated new pledge regime are now available. Movable pledging will become a real collateralization option once the Movable Pledge Registry begins its operations.
Should you have any questions about how these changes might affect or create financing opportunities for your company, please do not hesitate to contact us.